Michael T. Belongia explores “Foreign Exchange Intervention by the United States: A Review and Assessment of 1985-89.” The author first lays out the basic concept of foreign exchange intervention and illustrates its effects on the balance sheets of both domestic and foreign commercial and central banks, then to the consequent effects on the domestic and foreign money supplies. These mechanics suggest several hypotheses about the effects of intervention, which he then tests with newly released daily data for the United States. The results indicate that intervention, during isolated periods, seems to have significant, but small, effects on daily movements in the DM/dollar and yen/dollar exchange rates.